Basic State Pension (before 2016)
What is the basic State Pension?
The State Pension is a regular payment from the Government based on your previous National Insurance contributions.
There are two different systems for claiming State Pension. The information on this page applies if you reached State Pension age on or before 5 April 2016, that is, if you are:
- a woman born on or before 5 April 1953
- a man born on or before 5 April 1951
It’s the date that you reach State Pension age that’s important, not when you start to claim it.
If you were born after the above dates and therefore reach State Pension age after 5 April 2016, the new State Pension rules will apply to you.
The old State Pension includes two parts:
- A Basic State Pension based on your previous National Insurance contributions
- An Additional State Pension also based on your National Insurance contributions, but this takes into account your earnings and whether you claimed benefits too.
Can I claim the State Pension?
You can claim the full Basic State Pension if:
- you reached State Pension age on or before 5 April 2016 (see above for full details)
- you have 30 years of National Insurance contributions. This includes contributions that you made when you were working, and contributions that were credited to you if you were unable to work - for example, if you were caring for a child or disabled person, or claiming certain benefits.
If you have fewer than 30 years of contributions, you’ll get 1/30 of the full State Pension amount for each year of contributions.
If you’re eligible to claim a Basic State Pension, you may also be able to claim an Additional State Pension. How much you get will depend:
- your earnings
- whether you claimed certain benefits
Can I claim State Pension and carry on working?
Yes, you can, but here are some things you should bear in mind:
- Any money you earn won’t affect your State Pension, but it may affect your entitlement to other benefits such as Pension Credit, Housing Benefit or assistance from the Council Tax Reduction Scheme.
- Be aware too that State Pension is taxable, so when added to your earnings it may put you into a higher tax band.
- When you reach State Pension age, you won’t have to pay National Insurance anymore, even if you keep on working.
How much State Pension will I get?
- The full Basic State Pension is currently £125.95 a week (in 2018/19) for people who have 30 years of National Insurance contributions.
- If you have fewer than 30 years of contributions, you’ll get 1/30 of the full State Pension amount for each year of contributions.
- As well as the Basic State Pension, you may get Additional State Pension. This is also based on your National Insurance contributions. How much you get depends on your earnings and whether you claim certain benefits.
For more information call Age Cymru Advice on 08000 223 444